SM 31

Study Guide and Reading Materials

Preliminary Period

SMIC31
STRATEGIC MANAGEMENT
Adopted from Strategic Management Made it Simple by Felina C. Young

MODULE 1 GUIDE

THIS MODULE IS DIVIDED INTO THREE TOPICS, NAMELY:

➢ STRATEGIC MANAGEMENT MODEL

➢ CHALLENGES IN THE EXTERNAL ENVIRONMENT
➢ CHALLENGES IN THE INTERNAL ENVIRONMENT
Lesson Objectives: Topic 1
As a result of completing this learning module, students will be able to:
• Describe strategic management each component and the strategic management process and its corresponding outcome
• Identify the Strategic Management Model
• Differentiate Strategic analysis from strategic decision-making, and strategic intelligence from strategic thinking.
• Formulate sample company vision, mission statement, and company goals and objectives.

1. Study topic content presented below. (TOPIC CONTENT)

2. Answer the exercises presented after the topic content below. (STRATEGIC MANAGEMENT MODEL)

TOPIC CONTENT:

Introduction:
The 21st century epitomizes the reality of dynamism. In fact, today’s milieu is in a state of fluidity. The certainty of change is Universal. The current landscape of competition is
highly threatening and daunting. As the global economy expands, blurring boundaries, any business needs to create its own impact in any part of the world. Thus, it is urgent for
organizations and business to strategize.

HYPERCOMPETITION
A fundamental of future of the new economy. It occurs when product/service offerings and technologies are so new that standards become unstable and competitive advantage is not
sustainable.

STRATEGIC MANAGEMENT- Is a continuous process of strategy creation. It involves strategic processes like strategic analysis and decision-making, strategy formulation and
implementation, and strategy control with the primary objectives of achieving and maintaining better alignment of corporate policies, priorities, and success.

STRATEGIC ANALYSIS - Consists of a systematic evaluation of variables currently existing in the external and internal environments.
STRATEGIC DECISION-MAKING – is deliberately bringing together the right resources for the right markets at the right time.
STRATEGY FORMULATION- is designing strategies on the business and corporate levels.
STRATEGY IMPLEMENTATION-is employing these crafted strategies to achieve organizational set goals and objectives.

STRATEGIC CONTROL- is the application of an appropriate monitoring and feedback system.

Sample of the Mission Statement: Mission Statement are likewise short and easy to remember. It gives employees a
better perspective on how their tasks contribute to the attainment of organizational
Mission statement of the College of the Holy Spirit Manila is as follows:
goals. Oftentimes, vision statements are more enduring compared to mission
“We build, through Christian and holistic formation, new generations of responsible statements. Mission statements are expected to change in the context of shifting
citizens who are the agents of transformation.” Here, what the organization does is economic realities or unexpected circumstances like challenges, threats, and even
“ to build”; it does this for new generations of responsible citizens”; and how it does opportunities.
what it does is” through Christian and holistic formation.
 Vision-Mission of the College of the Holy Spirit Manila Organizational Goals and Objectives
Vision: An Educational Institution ablaze with the Spirit of Excellence To operationalize the mission statement, organizational goals and objectives
defined. All organizations have set goals. These are referred to as organizational
Mission: We build, through Christian holistic formation, new generations of
goals. Organizational Goals (overall goals) are pursued to make the specified
responsible citizens who are agents of transformation strategies succeed.

Strategic Goals: They vary and are essentially dependent on their respective purpose and direction.
One of the implied basic goals of any organization is to use economic resources
In living out the ideals of St. Arnold Janssen, CHSM aims at the total formation efficiently and effectively such that survival, if not profit, is at least secured, thus,
of authentically Christian Filipinos who are : ensuring the continuity of the organization. Goals are macro, encompassing in
• humane and committed to the care of creation : perspective, and prospective in nature. In fact, goals represent the overall vision of
• professionally competent and dedicated to service; an organization. By their very nature, goals have the following properties.:
• socially and critically conscious of the realities of life;
• motivated to proactively respond to the call of the time; and
• just and other centered-leaders.
Properties of Goals The relationship between goals and objectives can be concretely illustrated: in
Figure 1.4, organizations have overall goals referred to as the organizational
1. Goals provide organizations focus and directions. They neatly converge
goals. To support and achieve this grand goal, objectives are enumerated. This
toward the purpose of any firm, thus, streamlining all unnecessary and
redundant considerations. mentioned objective are actually the goals of the respective departments or business
2. Goals move organizations to actions. Because goals have to be attain, units that will likewise have their own objectives. Because of these
organizations are motivated to function and perform toward their vision. interrelationships, objectives need to be consistently aligned and be within the
3. Goals develop in organizations the trait of persistence. Thus, organizations framework of the given goal.
continue to persevere until they achieve their desired success.

Nevertheless, for goals to be attained, they have to be supported by objectives. Objective 4

Objectives are different from goals, in that they are micro and specific in Organizational Goal
perspective. They should possess the following characteristics:
Objective 2 Objective 3

Objective 1
Characteristics of objectives:
1. Objectives need to be clearly defined and formulated, carefully chosen,
specific, and definite.
2. Objectives maybe immediate or short term.
3. They need to be prioritize into a hierarchy of objectives.
4. Objectives need to be realistic and attainable. They need to be flexible,
consistent, and strategic.
5. Objectives need to be measurable overtime

Strategic objectives are, in general, externally focused. According to peter

Drucker(2008). Objectives fall into eight major classifications: Value System of an Organization
1. Market standing (e.g., desired share of the current and new markets);
2. Innovation (e.g., development of new goods, services, and of skills and
methods required to supply them);
3. Human resources (e.g., selection and development of employees);
4. Financial resources (e.g., identification of sources of capital and their uses)
Value system
5. Physical resources (e.g. equipment and facilities and their uses);
6. Productivity (e.g., efficient use of the resources relative to output); Interests
7. Social responsibility (e.g., awareness and responsiveness to the effects on Values
the community of the stakeholders); and Leadership and
8. Profit requirements (e.g., achievement of measurable financial well-being Management Styles
and growth. Dreams and
Aspirations
VALUE AND VALUE SYSTEM Philosophies Ethical practices
Organizations are guided by values, which vary from one organization to
another. Values are inherent roots of motivation within an individual, an
organization, a community, or a nation. They are by nature, ingrained and thus, are Expectations
more stable and enduring. They are both intellectual and behavioral, serving as
bases for the organization’s actions and way of thinking.
Values are generally exhibited in two different ways, namely, beliefs and
attitudes. More particularly, beliefs are cognitive manifestation while attitudes are
characteristically behavioral. They are fundamental and intricately integrated in the
particular organizations value system. Take note that the values projected by
organizations are largely dependent on any or all of the following: the stockholders,
the Board of Directors, and the top management.
Strictly speaking, the values of an organization are not synonymous to its value system. The value system is characteristically broader in scope; aside from values, it
includes other variables such as the organization’s dreams, aspirations, interests, expectations, philosophies, as well as leadership and management style and ethical
practices. Moreover, the value system indicates the hierarchy of values ranked by organizations. Because values are distinct, they differ from one organizations to another.
This explain why one organization may be perceived as socially and community-active, while another is business oriented. Hence, the importance of these value qualities
and value systems for organizations cannot be underestimated.

Organization Climate and Culture

The concepts of organizational climate and culture are interrelated, interdependent, and sequential.
They are interrelated in that organizational climate is often defined as the regular and repetitive patterns of attitudes and behavior exhibited by employees of an
organizations.
It is a measure of the health of an organization. It manifest whether its employees are happy, hard- working, and motivated, or otherwise: whether good interpersonal
relationships exist between and among different levels of management: and whether the work environment is acceptable and conducive to productivity.
Organizational climate is easier to access and change. It lends to flexibility. It precedes and somehow contributes to the solidifications of the culture of an organization.

Organizational culture has been variously defined (Hofstede 1980a; Schein 1990) Organizational culture denotes a wide range of social phenomena, including
an organization’s customary dress, language, behavior, beliefs, values, symbols of status and authority, myths, ceremonies and rituals, and modes of difference and
subversion; all of which help to define an organization’s character and norms( Scott et al. 2003).
Culture, in the sense that it is used here, can be understood as an idealized system (Schein 1999) because a system focuses on types of meanings represented buy values,
formal rules, knowledge, beliefs, and expressive forms ( Pettigrew 1990; Parker 1992; Partrick 2010)

The conceptual aspect perceives organizational culture as a system of knowledge and common values which can be exhibited and evaluated similarly by people
eve3n with different backgrounds and at different levels within the organization. Thus, organizational culture is more solid, stable, and long term because it presents the
organizations culture form its inceptions to where it is, showing how the culture of an organization evolve through the years. Unique, the organizational culture is largely
and generally influenced by the leadership of the top management.

In summary, vision projects the image that an organization wants to attain. It is reinforced by the mission statement that’s specifies how the organization intends
to actualize this vision. Thus, goals and objectives are clearly enumerated. Furthermore, any organization has its own value system that inevitably becomes part of its
organizational culture.

End of Topic 1
EXERCISE 1 TOPIC

WORLD’S GREATEST STRATEGISTS

HOWARD SCHULTZ: STARBUCKS

Schults somehow knew, back in 1985, that he would pay up if he turned an ordinary cup of ”joe” into a Venti latte. He also hoped his cool coffee cafes would change
the culture, as they have in cities and suburbs alike. Roughly, 30 years later, 20,000 Starbucks stores circle the globe. Generating $15 billion in annual revenues.

Now, the boy from Brooklyn is pushing into tea, baked goods, and digital commerce with Starbucks' $’5 million equity stake in Square, a mobile payment start-up.
Following a record year with the stock nearing an all-time high, Schultz is turning his focus to Starbucks mission, growth initiatives, the convergence and integration of
retail and e-commerce, digital card, and mobile assets around the world.

STRATEGIES

• “But when you really believe-in yourself, in your dream- you just have to do everything you possibly can to take control and make your vision a reality. No great
achievement happens by luck.”
• “It’s one thing to dream, but when the moment is right, you’ve got to be willing to leave what’s familiar and go out to find your own sound.”
• Whatever you culture, your values, your guiding principles- you have to take steps to inculcate them in the organization early in its life so that they can guide every
decision, every hire, every strategic objective you set
• “: Every step of the way, I made a point to underpromise and overdeliver. In the long run, that’s the only way to ensure security in any job.”
• “If you want to build a great enterprise, you have to have the courage to dream great dreams. If you dream small dreams, you may succeed in building something
small.”
• “Whatever you do, don’t play it safe. Don’t do things the way they’ve always been done. Don’t try to fit the system. If you do what’s expected of you, you’ll
never accomplish more than what other expect .”

STRATEGIC GUIDES:
1. Study the biography of Howard Schultz, CEO Starbucks. Include his childhood. If there is something significant, his interest, his educational attainment,
professional and career orientation, and other facts that might have contributed to the success he is enjoying now.
2. Study the beginning of Starbucks, the challenges it encountered through the years its journey toward success.
3. From the management, result-driven, practical, and inspirational strategies implemented by Schultz at Starbucks, which struck you as something worth imitating?
Explain your answer.
EXERCISE 2 MULTIPLE CHOICE

A. Directions: Use a separate sheet of paper in answering this activity. Read each item carefully and choose the best answer among the given choices.
1. Strategic management is:
(coming up with organizational policies; a continuous process of strategy creation; managing people )
2. Strategic intelligence is:
(ensuring that everyone has the same mindset; thinking about the welfare of every employee; possessing and using relevant
and related knowledge, abilities, foresight, and systems thinking in an organization)
3. Strategic decision-making is greatly demonstrated when:
(all employees are happy and content; the stakeholders earn good profits; the right resources for the right markets at the right
time are brought together)
4. This is needed to systematically evaluate the variables currently existing in the external and internal environments:
(strategic analysis; strategy formulation; strategic decision-making )
5. Uniquely designed and effectively communicated formulated strategies allow organizations to attain:
( organizational competitiveness ; competitive advantage; more profits)
6. Strategic planning is:
(adopted by businesses and companies; applied in an academic environment; research-oriented)
7. Strategic planning is a repetitive and continuous process:
( that serves as a blueprint of what the organization intends to accomplish; that continuously makes and changes plans;
that involve the top management only)
8. The grand plan is also known as:
(the departmental plan; the unit plan; the organizational plan)
9. The vision of an organization:
( motivates the organization to go where it wants to go; is a nicely and attractively worded slogan of the organization;
is an individual goal of a department)
10. The mission statement of an organization
(is the same as its vision; never changes in time; defines the current purposes of the organization)

B. ANSWER THE FOLLOWING QUESTIONS

1. Define organizational Vision by using an Example.
2. Why is Mission statement important to an organization?
3. Are organizational goals and objectives similar? In what ways/ are they different?
4. Differentiate organizational climate from organizational culture.
 Adopted from STRATEGIC MANAGEMENT MADE IT SIMPLE by, Felina C. Young

MODULE 1 TOPIC 2 (CHALLENGES IN THE EXTERNAL ENVIRONMENT)

LESSON OBJECTIVES:
Particularly at the end of this topic, the students should be able to :

• Employ SWOT analysis using a company:

• Perform environmental scanning
• Analyze and evaluate the political, economic, social, technological and environmental forces affecting the country
• Identify external forces that may prove beneficial or detrimental to an organization.

TOPIC GUIDE: TOPIC 2

1. Study topic content presented below. (TOPIC CONTENT)

2. Answer the exercises presented after the topic content below. (CHALLENGES IN THE EXTERNAL ENVIRONMENT)

TOPIC CONTENT:

ORGANIZATIONAL INTELLIGENCE- refers to the expertise, insight, and wisdom possessed by an entity. It serves as valuable guide top its journey to becoming
competitive. Thus, organizations need to possess this capability to be able to accurately audit the environment and come up with creative and cutting-edge strategies.

ENVIRONMENTAL SCANNING is the study interpretation of the forces existing in the external and internal environments. It is carefully monitoring the surroundings
with the end goal of ascertaining early indicators or prospects and challenges that may influence the organization’s present and future plans.

The external environment includes social, economic, political, technological, and environmental forces that may influence an organization, an industry, or any entity. The
competitive environment covers competitors, suppliers, customers, stakeholders, culture, and the government.

STRATEGIC INFORMATION- consists of the facts and data used by organizations to assist them in achieving their vision, mission, and goals. It can be drawn from
both external and competitive environments.

Environmental Scanning involves two processes:

1. Looking at or simply viewing information
2. Looking for or searching for information.
Ways of Environmental Scanning:
➢ Undirected viewing-the individual is exposed to information with no specific information need in mind. The sources of information are wide-ranging and
large chunks of information are quickly dropped from the individual’s attention.
➢ Conditioned Viewing- the individual directs viewing information to specified facts and data to be able to assess their general impact on the organization. It
is not an active research but a mere viewing information.
➢ Informal Search- The individual actively looks for information to increase knowledge of a particular issue. It essentially involves a relatively unstructured
effort where the objective is to gather information to expound on the issue, thus determining whether s strategic move is needed by the organization.
➢ Formal Search- The effort exerted by the individual is deliberate and planned. The search is both focused and the research methodology is clearly enumerated
and followed.

The SWOT Matrix Analysis

The SWOT matrix is a structured assessment tool used to evaluate an organization, industry, a place or even a person in terms of set parameters like strengths,
weaknesses, opportunities, and threats. It classifies strengths and weaknesses as internal dynamics characterizing an organization and threats and opportunities as external
influences to the organization.

➢ Strength - are features that organization possess, thus, giving it significant advantage over others.
➢ Weakness- are characteristics that place organizations at a disadvantage relative to others, and may just be limitations or vulnerabilities of organizations.
➢ Opportunities – are possibilities in the external environment that organizations can exploit to their advantage.
➢ Threats – are challenges in the external environment that can cause problems to organization.
 Humphrey’s 2x2 matrix model (2005) suggests actions for issues arising from the SWOT analysis according to four different categories. The recommended
practical and direct actions are presented :
SWOT Analysis Matrix
Strength (Internal) Weaknesses (Internal)

Strength/ Opportunities Weaknesses/ Opportunities

Opportunities • Obvious natural priorities • Potentially attractive options
( External) • Likely to produce greatest ROI( Return on • Likely to produce good returns if capability and
Investment) implementation are viable
• Likely to be quickest and easiest to implement • Potentially more exciting, stimulating, and rewarding.
• Probably justifying immediate action planning, • Primary Question.” What is actually stopping us from
feasibility study, or business plan. doing these things, provided they truly fit strategically and
• Primary Question.” If we are not yet looking at these are realistic and substantial
areas and prioritizing them, then why are we not?

Strength /Threats Weaknesses/ Threats

• Easy top defend and counter • Potentially high risk
• Only basic awareness, planning, and implementation • Assessment of risk is crucial.
Threats ( External) are required to meet these challenges • When risk is low, ignore these issues and do not be
• Investment in this issues is generally safe and distracted by them.
necessary • When risk is high, assess capability gaps and plan to
• Primary Questions” Are we properly informed and defend or avert in specific controlled ways.
organized to deal with these issues and are we certain • Primary Questions:” Have we accurately assessed the risks
there are no hidden surprises?” and, Since we are of these issues and when risks are high, do we have specific
strong here, can any of these threats be turned into controlled plans to avoid/avert/defend?”
opportunities.
Although the SWOT matrix has been considered and old process for evaluating the strengths, weaknesses, opportunities, and threats of an organization, it has constantly
proven its worth and functionality when it comes to assessment. Divided into internal and external environments, it clearly focuses on the status of the organization. As
a result, logical inferences can be drawn and corresponding strategies can be recommended.

THE EXTERNAL ENVIRONMENT

The external environment presents the varying forces that influence organizational direction and strategic decision-making. These forces are political, economic, social,
technological, environmental, and legal perspective(PESTEL). The confluence of these forces can present themselves as threats and challenges to organizations. On the
other hand, they could provide valuable opportunities. The analysis of the external environment is referred to as PESTEL Analysis.

Social Forces Political Forces Economic Forces Technological Forces Environmental Forces
• Changing Social • Political • Globalization • Communication • Climate Change/
Structure Independence/ • Competitors and Technology Biodegradable Materials
• Aging Changing Suppliers • Computer-integrated • Environmental Waste
Population/Demand Government • Fall of Financially Business Management
for Health Services • Terrorism/ Suicide Stable Organization • E-Banking • Preservation of Rainforest
• Sophisticated lifestyle Bombings • Increasing Oil prices • E- Learning and Marine Life
of people • Chemical and Nuclear • Economic Trade • Digital Medicine
• Cross cultural Threats Agreements • E-Security
Diversity • Global Alliances • Emerging Markets
• Rise of China Discussions Discussions
Discussions We live in a digital world.
Changing Social Structures. Discussions Discussions Another important catalyst of Environmental responsibility is the
The social environment can be There are crucial concerns competition is technology. In the urgent call of the global
better understood and confronting nations today. Economic realities have 1980's, information technology neighborhood. Ecological damage
analyzed in terms of broad Geopolitical issues have concomitantly come to the began its journey toward radical is happening everywhere. There
social structure. become the focus of major forefront. Economic issues communication and technology seems to be an utter disregard or
Social structure refers to the political powers. Some of greatly affect the growth and growth. Significant changes seeming indifference about the
network of social institutions these issues are political development of a nation. happening in the world today environment. Environmentally, no
that includes the family and independence, changing Nations are strategizing to have been the result of rapid country can claim complete
the community. The family is governments, balance of maintain a continuum of developments in information isolation. The safety and survival of
one of the basic institutions of power, terrorism, suicide financial stability. Most often, technology. These technological one should be the concern of others.
a social organization. It bombings, global alliances, trade and investments are advances are observed in the After all, nations share water
performs various functions transacted to ensure monetary fields of communication, boundaries.
that include human Political security. Economic realities business, banking, education,
reproduction, raising of Independence/Changing include globalization of medicine, security, and in all Climate Change/Use of
children, and sending them to Governments. products and services, the facets of everyday living. Biodegradable Materials.
schools to ensure a better life Political sustainability has presence of aggressive
in the future. When bound become the focus and competitors and suppliers, the Communication Technology. The effects of environmental
together, families form concentration of developed fall of large and "supposedly" Communication technology saw degradation, malpractices, neglect,
communities. and power-driven countries. financially stable the proliferation of mobile and indifference are critical and
They fight wars to attain and serious. The use of non-
Today, social structures are maintain political supremacy. organizations, increasing oil phones, popularity of text biodegradable materials emitting
significantly changing. Family The call for global political prices, economic trade messaging, convenience of chlorofluorocarbons continuously
sizes are decreasing in equilibrium has challenged agreements, the emergence of sending fax messages, causes the widening and deepening
developed countries like nations to involve themselves new markets, and the rise of usefulness of CCTV cameras for of the hole in the ozone layer. As a
Europe and America. In in the attainment of global China as a major economic surveillance and simple result, global warming has caused
China, peace and security. Global player in the world. monitoring, and benefits of countries to experience extreme
the one-child policy has been ideologies are the main video conferencing, among weather changes, that is, from heat
strictly implemented and determinants of global Globalization. others. The impact of these strokes on one end to extreme
monitored for the last decades, support while global power is This is one major determinant changes in the area of rainstorms on the other end like
although this law has now the main ingredient of global of competition. communication technology extreme global climate changes:
been relaxed. On the other leadership. Consequently, Globalization can be viewed cannot be overemphasized. storm surges, tsunamis, below zero
hand, a greater number of nations today are undergoing from four perspectives: degree climate weathers,
underdeveloped countries changes in government: from products, people, ideas, and Computer-integrated earthquakes, volcanic eruptions,
allow larger family sizes that communism to socialism to money. Business. Today, enterprise droughts, and forest fire.
bring about accompanying capitalism, and from Before, simple and traditional resource planning (ERP)
social implications. As a dictatorship to democracy. goods were generally integrates business operations in Environmental Waste
result. there is a pressing need More particularly, some accepted but today's marketing, accounting, Management.
to provide for a well-balanced colonized territories in the consumers demand flexibility production, operations, and In many underdeveloped countries,
family like good education, world are waging their own and versatility in the products management. Computer-aided noise, air, and water pollution
decent housing system, wars to attain independence. they use. manufacturing makes levels are high. Smog, fumes, and
acceptable monthly incomes, Fighting, dissention, and production more efficient, contaminants continue to cause
safety and security in mayhem characterize civil Globalization likewise implies computer-aided design results in increasing incidents of diseases,
communities, and more wars. The hostilities between mobility of people. People concise outputs while more specifically those related to
opportunities for livelihood. and among the protagonists migrate to countries of their telecommunication technology the lungs. Mismanaged disposal of
The interrelationships of these are bloody and costly. People desire. The Philippines, as a makes physical distances toxic wastes results in the
social constructs describe are killed, families are country, has created its immaterial. Product innovation occurrence of serious and infectious
today's changing communal displaced, and properties are comparative advantage in the is easier to create. product illnesses; lack of clean water
and shared structures, destroyed. These affect the area of human resources, the development is relatively contributes to unhealthy living;
including marked differences very core of humanity. country being competitive shorter, less cumbersome but unhygienic surroundings are
in universal and collective when it comes to its nurses, more challenging, and fewer eyesores while lack of cleanliness
values, beliefs, morals, andTerrorism/Suicide caregivers, teachers, seafarers, employees perform tasks due to produces grubby citizens who are
religions Bombings. and programmers. Lastly, technology. In addition, health hazards to others.
The bloody and painful inventions and expertise are enterprise resource planning is Furthermore, the use of dynamites
Aging Population/Demand transition toward equality of no longer limited to a popularly applied in supply is destroying marine life, disturbing
for Health Services. basic human rights and the particular nation. Indonesia chain activities like purchasing, the seabed, and killing aquatic
There are more maturing and right to a better life have has developed a cure for bird inventory management, plants and corals. Oil and gas spills
aging individuals today. Like brought about critical security flu, while the science of scheduling and dispatching contaminate bodies of water and
an inverted triangle, the baby problems like terrorism, robotics is being deliveries, distribution logistics, cause marine imbalance.
boomers are greater in kidnappings, suicide experimented and actualized documentation and management
number. Baby boomers are bombings, and hijackings. in Japan.. Thus, we speak of of accounts receivables and Preservation of Rainforests and
individuals born in the 1940s. News about wounded and "globalized” people, money, payables, and preparation of Marine Life.
Today, they are precisely the dead children, elderly products and services, and income statements and balance Rainforests are no exception.
people who need more citizens, and innocent people ideas. sheets. Thus, it can be said that Continuous depletion and
medicine and health services. have become normal ERP has revolutionized denudation of forests explain why
This reality has fundamental occurrences heard over radio
Competitors and Suppliers. operational activities, making torrential rains are more destructive
social implications like the and seen on television.
Aggressive competitors and processes more precise and and intense nowadays. They result
need to provide elderly people Kidnappings for ransom have
creative suppliers compete to efficient. In production, in damage to properties and danger
with adequate medical care become sure sources ofget a larger slice of the market, processes are computer-aided, to human lives. Irresponsible
and community service. finances. The fearless and
both energizing, the industry computer-integrated, and mining is slowly destroying and
Because of their bold attacks by suicide
and business environments. computer-manufactured, thereby running down natural barriers that
deteriorating physical and bombers are a brazen Pricing, quality, producing quality, more otherwise provide safety of abode
physiological condition, testimony of disregard for law
differentiation, and innovation efficient, and cost-effective to people.
senior citizens need more and order.
are the usual criteria for goods and services.
doctors, nurses, and caregivers business success with These forms of man-made abuses
to health requirements, and consumers more likely E-banking. Banking and destructions are alarming. One
nutritionists to guide them in patronizing less expensive but transactions like deposits, realizes that care of the
eating healthful food. They Chemical and Nuclear quality products. withdrawals, and payments can environment is a serious concern
need psychologists to tend to
Threats. be done online nowadays. Intra- and responsibility for everyone: the
their emotional needs;
Some countries go on Fall of Financially Stable banking operations are more individual, the organization, the
adequate medicines to address
developing and producing Organizations. efficient while international community, and the government. In
their therapeutic and remedial
weapons with the intention of The last few years saw the banking transactions are short, environmental preservation is
concerns, modern health blackmailing and/or downfall of a number of operated with accuracy and a global priority for everyone.
equipment, and facilities like
intimidating other countries. financially successful expediency. Confidentiality of While some of the external
homes for the aged to provide
True enough, the spread of organizations that were transactions can be largely environment forces do not directly
them with comfortable
deadly chemicals, viruses, managed by respectable and maintained while anomalies can affect us, they are significantly vital
welfare dwellings and warm and other forms of competent presidents and easily be tracked as long as to an organization. The global
neighborhood centers to helpmicroorganisms pose chief executive officers. The procedures for check and landscape, as earlier mentioned,
them get smoothly through the
dangerous effects. This is corporate fiascos of Enron. balance are in place. cannot allow an organization to run
aging process.
likewise true with nuclear World.Com, and the Lehman away from these realities.
military hardware. Nuclear brothers are but a few E-learning. One of the most Somehow, these social, cross-
Sophisticated Lifestyles of threat is imminent where examples of the more widely recent developments in cultural, geopolitical, economic
People. countries continue to beef up education is distance or online determinants will affect the way
Compared to the past, the their nuclear arsenals. talked about financial learning. It is learning from organizations manage themselves
lifestyle of people today have Although nuclear plants are catastrophes. home, the office, while on in the near future. In some
dramatically changed, too. essentially useful in vacation, or from any place instances, these forces may be the
Their way of looking at harnessing nuclear energy, Increasing Oil Prices. outside the four walls of a reason for their bankruptcy or
themselves, the people around their misuse and abuse are The never-ending increases in classroom. Popular among busy eventual closure.
them, their lives and careers, threats to peaceful oil prices have been creating people, e-learning has become a
their values, attitudes, coexistence. Danger looms economic instability in global convenient way of pursuing
philosophies, and expectations and when used communities. Changes in oil formal education: high school,
have taken a deeper and wider indiscriminately, these long- prices are detrimental to the vocational, tertiary, graduate and
perspective. They are more range and short-range survival and success of many doctoral levels. Furthermore, e-
demanding, complicated, missiles can literally erase the organizations. learning within the classrooms
varied, and unique. Their whole of humanity. In can be conducted since schools
priorities, as well as their essence, political survival and Economic Trade today have access to the Internet.
wants, are continuously power are the great Agreements. Economic trade
changing. Whereas, earlier determinants of political agreements among nations Digital Medicine. Another
generations were content with decision-making and peaceful have likewise become a vital surprising and most welcome
having a simple abode to stay coexistence. bargaining power in a development in the field of
safe, today the new generation country's economy. Bilateral medicine is the use of
of people want to own houses Global Alliances. and multilateral economic technology. Scientists conduct
and live extravagantly . Once treaties between and among stem cell researches from
content with simple things, Politically, nations are economic global partners leftover human embryos with the
they expect more from life and aligning themselves for self- provide trade priorities and hope of curing illnesses like
living. preservation and more so, for privileges, allowing local diabetes, Parkinson's disease,
global stability and strength. products to reach other and spinal cord injuries. These
Cross-cultural Diversity. Today, no nation attempts to markets. The World Trade days, computer-guided robots
Similarly, the global stand alone because global Organization (WTO), Asian perform surgical procedures.
community is getting relationships are essential to Free Trade Organization Using androids, surgical
figuratively smaller. national survival. European (AFTA)' North American operations are more precise,
Workplaces are shifting and nations have bonded Trade Agreement (NAFTA), cheaper, and less time-
people in the global themselves as the European and Asia-Pacific Economic consuming.
community are either working Union. The same is true with Cooperation (APEC) are
or migrating to every part of ASEAN countries. examples of these economic E-security. Security is another
the world. As a result, cross- alliances. The implementation vital global issue. The use of
cultural diversity has become of zero or near zero tariffs on information technology is
an important organizational all traded products is now inevitable in manufacturing
issue; culture being basic effective. missiles and other forms of
 component of the global ammunitions, coding military
environment. When we speak Emerging Markets. Closely secrets, safeguarding fortified
of multi-cultures, we consider interrelated to the political, installations, monitoring
the culture of the individual social. and economic growth enemies, securing soldiers, and
and the host country. and development of a country planning counterattacks. More
While foreigners bring is the emergence of different particularly, robots can detonate
with them their deep-rooted markets. Developed, bombs and operate helicopters
cultures, beliefs, aspirations, developing, and for reconnaissance missions.
values, traditions, underdeveloped countries are True, the age of digital living has
perspectives, religion, and economic markets with arrived and more changes are
sense of nationalism, there is a unique needs, wants, expected.
need for them to also respect demands, distinct traits, and
the culture of their host peculiarities.
country and adjust to its Rise of China. One Of the
cultural traditions and most potent economic markets
idiosyncrasies. Therefore, to in the world today is China. It
promote good multi-cultural is seen both as a supplier and a
working interrelationships, big market. Constituting one-
flexibility, mutual acceptance, third of the world's
and deference to intra-cultures population, China is a market
are necessary. for other countries' products
and services. As a supplier, the
country is capable of
providing goods and services
to the world market. Although
not apparent, the economic
status of nations indirectly
affects political alliances.

Exercise 1 Topic 2
WORLD’S GREATEST STRATEGISTS
JEFFREY BEZOS: AMAZON. COM

Jeffrey Bezos, 50, is relentless in pursuit of new things to sell. Amazon .com dominates web retailing with $75 billion in annual sales. An estimate shows
that the company is offering 230 million different items and is expanding its product assortment at a 24% plus annual revenue growth still delights Wall Street that
gives its chief a pass on profits.

Bezos take calculated gambles, such as Amazon Web Services, which sells computing as if it were just retail good. It has the potential to replace traditional
enterprise computing, and offers Amazon potential billions in new higher margin revenues” We like to go exploring, to wander into dark alleys, and see if they
open up into broad avenues,” Bezos commented.

STRATEGIES
• Customer Obsession. Leaders start with the customer and work backwards. They work vigorously to earn and keep customer trust. Although leaders pay
attention to competitors, they” obsess” over customers.
• Ownership. Leaders are owners. They think long-term and do not sacrifice long-term value for short term results. They act on behalf of the entire company,
beyond just their own team. They never say” that’s not my job.”
• Invest and Simplify. Leaders expect and require innovation and invention from their teams and always find ways to simplify. They are externally aware,
looking for new ideas from everywhere, and are not limited by” not invented here.”
• Deliver Results. Leaders focus on the key input for their business and deliver them with the right quality and in timely fashion.
• Insist on the Highest Standards. Leaders have relentlessly high standards; many people may think these standards are unreasonably high. Leaders are
continually raising the bar and driving their teams to deliver high quality products, services, and processes.

STRATEGIC GUIDES

1. Study the biography of Jeffrey Bezos, CEO of Amazon.com. Include his childhood. If there is something significant, his interests, his educational
attainment, professional career orientation, and other facts that might have contributed to the success he is enjoying now.
2. Study the beginning of Amazon.com, The challenges it encountered through the years, and its journey towards success.
3. From the management, result driven, practical, and inspirational strategies implemented by Bezos at Amazon.com, which stuck you as something worth
imitating? Explain your answer.

Exercise 2 of Topic 2

A. MULTIPLE CHOICE
Directions: Use a separate sheet of paper in answering this activity. Read each item carefully and choose the best answer among the given choices.
 1. These are feature that organizations possess, giving significant advantage over others:
(strengths; weaknesses; opportunities)
2. When the individual directs viewing of information to specified facts and data to be able to assess their general impact on the organization:
(informal search; undirected viewing; conditioned viewing)
3. The reality of living in global communities addresses the issue of:
( cultural diversity; aging population; sophisticated lifestyles)
4. Globalization, as a major determinant of competition, can be viewed from this perspective:
(religion; ideas; philosophy)
5. When an organization scans the environment:
( it studies only the external environment; it studies only the internal environment; it studies both the internal and external environments)
6. It consists of facts and data used by organizations to assist them in achieving their vision, mission, and goals:
(strategic information; strategic research; strategic policy)
7. The great and significant catalyst of competition:
(communication technology; information technology; re-engineering)
8. These advances are observed in the fields of communication, business, banking, education, medicine, security, and in all facets of everyday living:
( Social; Economic; Technological)
9. Integrates business operations in marketing, accounting, production, operations, and management:
(research and development; enterprise resource planning; strategic planning)
10. The challenge of extreme political ideologies affects the occurrence of:
(chemical and nuclear threat; political independence; suicide bombings and terrorism)

B. ANSWER THE FOLLOWING QUESTIONS

1. What is external environment? What are the forces interplaying the external environment?
2. Look for a real-life case and apply SWOT analysis. Recommend corresponding plans of actions.

LESSON OBJECTIVES: TOPIC 3 (CHALLENGES IN THE INTERNAL ENVIRONMENT)

 Particularly at the end of this topic, the students should be able to :
• Assess the internal environment
• identify the role of the government as the business caretaker;
• appreciate the role of culture as a venue of communal convergence;
• classify and compare the types of competitors;
• relate consumer behavior to specific consumer outcomes;
• appreciate the importance of suppliers in any business transactions;
• explain Porter’s Five forces Model

TOPIC GUIDE, TOPIC 3

1. Study topic content presented below. (TOPIC CONTENT)

2. Answer the exercises presented after the topic content below. (CHALLENGES IN THE INTERNAL ENVIRONMENT)

TOPIC CONTENT
The Internal Environment- is the setting in which an organization locally exist. There are existing unique and interrelated variables that directly affect any
organization/business. Understanding these variables is essential to conduct the organization successfully. These areas are government, culture, the stakeholders,
competitors, suppliers, customers, and the community.

Government: Business Caretaker Culture: A Communal Convergence Stakeholders : The Business Investors Competitors: The Business Threats

The government is the sole legitimate

Culture is the communal aggregation and Organizations exist because there are Competition is an economic scenario where
institution tasked with overseeing
convergence of the country’s philosophy, individuals who are willing to take risks, nations, communities, organizations,
organizational operations in the country.
beliefs, traditions, values, attitudes, invest their capital, and engage in business companies and individuals offer and sell
In implementing these administrative
aspirations, and practices that have activities in exchange for a return. This their products and services.
functions and responsibilities, the
historically evolved since a nation’s return on their investments is profit.
government undertakes the following: Competitors continuously strive to outplay
inception.
➢ Provides the needed infrastructure- and outsmart each other, hoping to get a
a. Physically in the form larger share of the target market.
of roads, bridges, Stakeholders are business investors. Some
electricity, and water The Philippine has its own culture- a culture are actively involved in the conduct of their Categories of Competitors:
services; that was greatly influence by diverse business while others prefer to be silent
b. technologically investors. • Same Products- They are
through information companies who sell exactly the
 technology cultures; Chinese, Japanese, Spanish, and same products or offer the same
infrastructure and American. services. They are direct
communication Stakeholders are assets to the country. They competitors. Examples are
facilities; provide opportunities for exchange of Unilever and Procter and Gamble.
c. economically by products and services. They initiate n Both are engaged in the same line of
Through many years of national growth and
providing availability business operations and compete among business and they sell the same
of loans, banking development, this culture has been shaped products.
themselves.
services, low interest by environmental variables happening • Similar Products. They are
rates, and tax within and outside the country and until companies who sell similar
incentives; today, continues to change, mature, and products. Tea and coffee are similar
They boost and energize economic activity,
d. socially through transform. Such evolution has nurtured in products.
provide employment to the community, and
housing, welfare, waste the Filipino certain distinct beliefs, • Substitute Products. Some
management policies, help government by paying business taxes.
traditions, and practices, which are either a companies sell substitute products .
community services, pride to the country or otherwise. For example the competitors of
and societal marketplaces are fast-food centers
responsibilities; While owners of businesses are the direct who sell primarily cooked food,
e. politically in terms of stakeholders, others are indirect and secondly, convenience. Instead
peace, security, stakeholders. These are individuals or of going to the market to buy meat,
stability, and Filipino Cultures: entities that stands to benefit from the fish and vegetables, they now go to
governance. investments of the owners. They are the fast-food centers for their meals.
➢ Creates an atmosphere of fear and employees, the government, and the • Different products. Still, there are
robust competition among industry companies who sell different
and company players, monitors and • Trait of Hospitality community.
products but market to the same
regulates monopolies and • The practice of Bayanihan market segments.
oligopolies, and eliminates unfair • Taking care of their parents, old Competitors also differ with respect to the
and illegitimate practices. relatives, and siblings strategies they adopt:
➢ Formulates business policies, • Pakikisama and Utang na loob
implements business operating • The habits of Ningas Kugon, • Complementary Competition-
guidelines, and regulates the manana, and Filipino time. Some companies appear to compete
conduct of business activities such • The attitudes of Crab Mentality and with themselves. For capturing a
as payment of taxes, health and Bahala na. larger market, they produce the
safety practices in food, • The Virtue of Resiliency same products, use different brand
manufacturing, construction, and • The idea of Kanya-Kanya names, and target different market
other service industries, ensure • The consciousness of being segments. An example is a real
quality of products and services, politically involved. estate company that sells low-cost
and mandates minimum wages of housing to target market, classes C
employees, and their fair and just and D; and average-cost housing for
treatment. middle- income class family.
 • Collaborative Competition.
Similarly, there are companies
whose relationships among each
other are strategic and cooperatives.
Examples are the oil companies in
the country. They are in “friendly”
competition.
• Corrupted competition. Lastly,
some companies produce ”fake’
products. They compete with
legitimate businesses by boldly and
unethically transgressing the
intellectual property rights of other
companies, thorough plagiarism,
duplication, and false branding. .
they produce and sell these products
at low price.
Ways in identifying Competitors:

• Determining similarity in
characteristics in the product and
services offered, the specific
technologies applied, and the
strategies employed, whether
marketing, financial,, and
managerial.
• Studying Consumers by observing
and studying consumers in terms of
demographic variables can also
help identify competitors: sex, civil
status, age, educational attainment,
monthly income, employment, and
psychographic variables like needs,
wants, attitudes, perception,
purchase patterns, and buying
behavior.
• Researching company Data.
Competitors can also be identified
through hard company data:
 capitalization outlay, number of
customers, distribution outlets,
employees, financial strength,
number of years in operation, And
company growth.
• Considering Corporate success.
Lastly, some competitors look at the
degree of success of other
companies by studying their sales
volume and amount of sales, market
leadership, and goodwill.

Continued:

Customer: The Business Challenges Supplier: The Business Partners Community : The Business Concern

The community is the intermixture of peoples coming from

all forms of walks of life with different “provincial or city
Competitors continuously compete to capture a bigger Suppliers- refers to individuals and companies engaged in
cultures,” different values, attitudes, aspirations, traditional
share of the market. Customers make the market. They are the delivery of raw materials, machinery, technology, labor,
beliefs, standards of living, family backgrounds, religions,
the very reason why companies pursue new product expertise, skills, and other forms of services.
and educational attainments.
developments and differentiate their existing products and
services. It is essentially heterogenous but characteristically
They are essentially business partners. Without them, homogeneous in its end goal of attaining quality of life.
Customers are the focus of companies’ business plans and
certain products cannot produced and some services cannot
programs and the thrust of their strategies. Without
be rendered. The supplier rendered component is important
consumers, companies have no reason to exist. Because of
for the following reasons: And such, the community in principle is the rationale of the
the changing needs, wants and demands, and sophisticated
“business framework” . It is the very reason why
lifestyles of consumers, there is an exigent need to employ • It is responsible for the quality of the products stakeholders invest their capital and venture into business.
various approaches to ensure their patronage and loyalty. produced and the services rendered. If the supplier
It provides opportunities for businesses to thrive.
is not managed well, it may result in the delivery
and sale of substandard raw materials, low quality
Consumer behavior is a marketing reality that is difficult to equipment and machinery, diluted admixtures of
discern, understand, and study with definiteness. metals and chemicals, decrease in number of
Customer Satisfaction is not enough. More than this, delivered items, and deficiency in weight, size, and It is “customers, suppliers, and competitors” are all bundled
emphasis is now on CUSTOMER DELIGHT- a condition number of units of delivered items. as one. It is the primary concern of the government.
where customers become excited over the products or • It affects continuity in operational
services offered. It comes from experiencing quality processes(production, scheduling,, and delivery).
service, product excellence, product versatility, or any Delays in delivery schedules may cause inventory
attribute that will greatly gratify and create distinct impact problems like stockouts, work stoppage, and work
on them. See Figure 3.1 &Figure 3.2 displacement.

Figure 3.1Changes in Consumer behavior

 Gives Elicits
Good Product/Service Customer Satisfaction Customer Approval

Provides
Assures
Quality Product/Service
Customer Delight Customer patronage

Creates Strengthens

Quality Relationship Customer Intimacy Customer Loyalty

 Figure 3.2 Customer Relationship Management

Company

Customer

Relationship

Management
Product
Customers
 Figure 3.3 Porter’s Five Forces Model

Bargaining Power of Customers

Threats of Substitute Products Competitive Rivalry

Threats of New Entrants

Bargaining Power of Suppliers

Porter’s Five Forces Model One of the more popular ways of strategizing an organization
to attain profitability and market share is to scan the competitive environment .
The competitive environment is best described and illustrated by Michael Porter’s Five
Forces Model of the Industry Competition.
To reduce the threats of new entrants, firms can produce better products, increase their
Porter spelled out one by one when is, each of these five forces high, and proposed ways efficiency, create and promote their brand image, enhance relationships with suppliers and
of reducing these situations: distributors, and pursue aggressive marketing strategies.
➢ Suppliers are sources of input needed to produce goods and services. The
bargaining power of suppliers is high when:
• Few large suppliers dominate the market where they form powerful oligopolistic ➢ Threats of Substitutes are present when complementary, alternative, and similar
bloc; products are in existence and sold at lower prices.
• There are no substitutes for the specified input;
• Switching costs from one supplier to another are high; and To diminish these threats, enhance brand loyalty of customers and increase
• Customer of suppliers are not united but fragmented. switching costs.

➢ Competitive Rivalry among players is high when:

To deal with this situation, strategies may include buying out , collaborating, and • There are many plyers with similar strategies;
• Rivalry is not differentiated;
providing training on supply chain management.
• The barriers for exit are high; and
➢ The bargaining power of customers is high when: • The growth of a company is at the expense of the other.
• Customers buy in large volume To deal with this situation, products and services can be differentiated and price
• Their products are not unique, such that they can be replaced or customers can
competition can be avoided. Collaboration among competitors can be promoted
produce those products themselves.
• Suppliers are fragmented and few; and while different segments can be focused on.
• Product switching is easy.
To deal with this situation, firms can collaborate, reach out, create loyalty,
and increase value-added incentives in customers, improve on supply Porter enumerated three fundamental generic strategies:
chain management, and work hard to move purchase decision from price .
➢ Factors that heighten barriers to threats of new entrants are: Cost of leadership, which can be achieved by exploiting economies of
• Financial in nature like economies of scale, high initial investments, fixed scale;
costs, and cost advantage due to the learning curve: Optimizing the learning curve, and
• Marketing advantages that include brand loyalty of customers, controlled Stressing on operational excellence.
distribution channels, protected intellectual property on products and
services, and good supplier-customer relationships: and
Furthermore, differentiation can be portrayed through product and service leadership and
• Production and operation pluses like access to raw materials and scarcity
customer intimacy. Lastly, focus can be demonstrated by segmentation.
and costs of qualified labor.

EXCERSICE 1 of Topic 3
WORLD’S GREATEST STRATEGISTS
TADASHI YANAI: FAST RETAILING

Tadashi Yanai, 65, is the son of a menswear merchant. He likes to say that he was” brainwashed by American culture.” Fast Retailing is a cross-border style setter
with fashionable financials. His house in Japan has a miniature golf range and his business empire sells the sort of brightly colored sportswear that plays well in the United
States, where the company operates 17 of its 1,300 Uniqlo stores.

Most of his stores are in Japan and Asia, but Yanai has big plans. He wants Fast, which also owns Theory and helmut Lang labels, to become the world’s No.1
apparel retailer with annuals sales of $48 billions by 2020, up from $12.6 billion now. Currently, Fast is No. 4 behind Zara, H&M, and Gap.

STRATEGIES
• “Unless they look at the details of day-to-day operations. i don’t think you can call them real managers.”
• “ No matter if you have ten stores, or 100 stores or 1,000 or 10,000 stores, everything starts from one store, and everything starts from satisfying one customer.
And every store needs to sustain its own business…. Every customer is buying one particular item of clothing or maybe two-but no one buys 10,000 garments. So
each product, each piece in each product, each store, and each customer is essential in the retail business.”

• “ My ideal company is a small company with one boss, making his own products and selling everything in his own store. I think that is ideal. But that is not
feasible.”
• “ I keep telling this to my staff: you are representing me. You are representing the CEO. What I’m trying to convey is that I want all staff to have a business
owner’s point of view.”
•
STRATEGIC GUIDES

1. Study the biography of Tadashi Yanai, CEO of Fast Retailing. Include his childhood. If there is something significant, his interests, his educational
attainment, professional career orientation, and other facts that might have contributed to the success he is enjoying now.

2. Study the beginning of Fast Retailing, the challenges it encountered through the years, and its journey towards success.

3. From the management, result driven, practical, and inspirational strategies implemented by Yanai’s at Fast Retailing, which stuck you as something worth
imitating? Explain your answer.

Exercise 2 of Topic 3 Multiple Choice

 A. Directions: Use a separate sheet of paper in answering this activity. Read 7. Quality relationships create:
each item carefully and choose the best answer among the given choices. a. Customer satisfaction
b. Customer delight
1. They initiate business operations and compete among themselves, c. Customer intimacy
a. Competitors 8. It is the spirit of coping with difficulties in life:
b. Stakeholders
c. Managers a. spirit of resiliency
2. Form of competition where the relationships among the companies are strategic b. spirit of “bayanihan”
and cooperative: c. spirit of “close family ties
a. Collaborative 9. The business caretaker:
b. .Corrupted a. management
c complementary b. government
3. Delays in delivery schedules may cause inventory problems like: c. stakeholders
a. management problems 10. Delighting the customers help ensure:
b. consumer disapproval
a. Customer patronage
c. stockouts
4. Advantageous customer-supplier relationship where stocks are delivered at b. Customer satisfaction
reorder point level: c. Customer employment
a. just-in-time B. Answer the following Questions.
b. re-engineering 1. Why there is a need for the government to regulate business activities?
c. enterprise resource planning Explain your answer.
5. Have a societal responsibility to help the deprived and marginalized poor 2. How does culture affect the conduct of business activities in the
to improve and attain quality of life: Philippines?
a. community 3. How important are stakeholders to the economy of the government?
b. customer 4. In what sense the customer satisfaction graduated to simply becoming a
c. supplier minimum requirements of business?
6. Porter’s Five Forces Model describes the: 5. Explain the Michael Porter’s Five Forces Model of Industry Competition
a. Global environment and discuss each of the forces.
b. Competitive environment
c. Macro environment

Case Problem:
 Royal Airlines is a local budget airline company. With 22 small fleets serving domestic routes in the country, the airline company continues to enjoy open sky privileges. Compared
to regular airlines, Royal Airlines charges lower rates as typical of budget airlines. No food is served on board unless one desires to order and pay for it.
The goal of Royal Airlines is to attract as many travelers as possible, thinking that volume or higher seat rate can compensate for the low prices being charged. So far, the company
has gone into aggressive marketing. Promotions are printed in leading daily newspapers and website booking has been highly encouraged. In fact, Royal Airlines has its own membership
club. It is their effective way of continuously touching base with its customers while informing them of great travel discounts. Patronized by many customers, Royal Airlines has been
relatively successful. The seats are almost always filled up; their pilots are efficient and very capable; their stewards and stewardesses are friendly and service-oriented; the planes are
clean and in good working conditions.
However, Royal Airlines has significant customer problem. In many instances, the planes of Royal Airlines are late in taking off and in landing. This has created great dissatisfaction
among its traveling public.
As the Marketing Manager, how do you intend to solve this problem? Recommend strategies to tackle this issue by preparing an action plan.

Submission of Case Analysis / once done submit it at the box place at SVCI guard house. Communication as to the receipt the said case analysis will be through text messaging/ or
submission of case will be announced @ group chat.

Activities, Resources, and Assessment

Online (Hybrid Model Blended (Asynchronous Model) Offline (Flex Model)

Resources: Resources: Resources:

Schoology App/Messenger Schoology App/Messenger Schoology App/Messenger
Textbook: Strategic Management Made Simple by: Felina Textbook: Strategic Management Made Simple by: Felina C. Textbook: Strategic Management Made Simple by: Felina C.
C. Young Young Young

Activities:
Activities: Activities:
 Topic discussion will be through GoogleMeet App., Topic discussion will be through GoogleMeet App., Topic discussion will be during classroom meetups, and
during which the exercises will be supplied with during which the exercises will be supplied with during which the exercises will be supplied with
answers. answers. Such teleconferencing will be recorded, the answers.
video of which will be made available to you via
Assessment: Messenger Group Chat or Gmail address. Assessment:
Topic quiz will be publish at Schoology App. Topic quiz will be issued to you and will be answered
Instructions as to the time allocated for answering and Assessment: at home, which will be immediately due for submission
deadline for submission of quiz will be announced via Topic quiz will be publish at Schoology App. the following day at the box placed at the SVCI guard
Messenger Group Chat. Instructions as to the time allocated for answering and house. Communication as to the receipt the said quiz
deadline for submission of quiz will be announced via will be through text messaging.
Messenger Group Chat.

Preliminary Term Major Examination

Time Duration and Allotment: 1 day
Activities, Resources, and Assessment
Online (Hybrid Model Blended (Asynchronous Model) Offline (Flex Model)

Resources: Resources: Assessment:

Schoology App Schoology App Preliminary Term Major Examination will be issued to
you and will be answered at home, which will be
Assessment: Assessment: immediately due for submission the following day at
Preliminary Term Major Examination will be publish at Preliminary Term Major Examination will be publish at the box placed at the SVCI guard house.
Schoology App. Instructions as to the time allocated for Schoology App. Instructions as to the time allocated for Communication as to the receipt the said quiz will be
answering and deadline for submission of assessment answering and deadline for submission of assessment through text messaging.
will be announced via Messenger Group Chat. will be announced via Messenger Group Cha